Accessory Unit

Fannie Mae – Multiple FAQs – High LTV & HomeReady®

Written by: Lloyd Rutherford, Staff Writer HomeReady may have changed their AMI requirements, but did you know that there are other ways to structure the loan to assist your clients? Learn the secrets from our expert in this article. Rule Synopsis: Fannie Mae issued multiple FAQs and other supporting documentation for their High LTV lending [...]

2019-08-09T13:30:06-05:00August 12th, 2019|

If a home is zoned as a 2-Unit, but the appraiser states its “best use” is a single-family, will FHA accept that?

Answer: While FHA requires that a property either conform to the land zoning or be considered ‘legally non-conforming’ (see guideline below) so that it can be rebuilt if destroyed, I believe there’s some confusion here regarding ‘zoning’ vs ‘property type’.  While a residential area (one lot or many lots) can be zoned for a certain [...]

2019-07-23T10:01:13-05:00July 25th, 2019|

Fannie Mae & Freddie Mac – Accessory Unit Rental Income: Can we use income from a detached Accessory Unit on a single-family home?

Answer: This could only be done on a Fannie Mae HomeReady® product or the Freddie Mac HomePossible® product, but it is not acceptable for any other program offered by Fannie Mae or Freddie Mac. Excerpts below from Fannie and Freddie selling guide. Reference: Fannie Mae B5-6-03, HomeReady Mortgage Underwriting Methods and Requirements (04/03/2019) Rental Income [...]

2019-06-19T09:33:42-05:00June 25th, 2019|

Freddie Mac- Multiple Selling Guide Updates – Bulletin 2019-9 – Dated May 1, 2019 [NEW Worksheet – Freddie Mac Verification of Funds for Income After Note Date]

Written By: Lloyd Rutherford, Staff Writer This month’s Freddie Mac Bulletin contains some little changes that could have a big impact on your business, so read through this article to stay up to date. Rule Synopsis: Freddie Mac is updating their selling guide for a variety of topics. This article will focus on the topics [...]

2019-05-10T07:08:15-05:00May 10th, 2019|

FHA – Accessory Dwelling Unit Income: Can I use both the income from an ADU (Accessory Dwelling Unit) and the other unit on a 2-unit property?

Answer: First, you need to verify that this property is considered a 2-unit with an accessory dwelling unit (ADU) and not a 3-unit property. If it’s actually determined to be a 3-unit property, then yes you can use the rental income from the other units. If it is actually a 2-unit with an ADU you’ll [...]

2018-06-25T08:38:18-05:00June 24th, 2018|